International Financial Reporting Standard for small and medium-sized entities
The International Financial Reporting Standard for small and medium-sized entities ( IFRS for SMEs ) is an accounting standard of the IASB that regulates accounting for small and medium-sized enterprises (SMEs). The standard was published on July 9, 2009 and came into effect on the day of publication.
It is a stand -alone standard based on the full International Financial Reporting Standards (IFRS). Accounting regulations for the accounting and valuation of assets, liabilities , income and expenses have been simplified, non-relevant subject areas have been omitted and the number of mandatory disclosures in the notes has been reduced.
scope of application
The scope includes companies that are not required to submit public accounts. A capital market-oriented company does not fall within the scope of application. Companies that manage clients' assets, such as B. Banks and insurance companies cannot apply the IFRS for SMEs either.
The IASB does not provide a final definition of which companies are to be classified as small or medium-sized. This qualification is made at the national level by the legislators of the respective states.
The IASB assumes that around 95% of all companies worldwide will not be subject to the full IAS / IFRS, but rather the IFRS for SMEs. In contrast to the full IFRS, recognition of the standard (English endorsement ) by the European Commission is not required. The national legislators decide immediately whether they will apply the standard.
Germany
No adoption of the standard is planned for Germany. With the law on the modernization of accounting law (Accounting Law Modernization Act, BilMoG) that came into force on May 29, 2009 , the legislature created an independent procedure for accounting for small and medium-sized companies. The standard can be applied on a voluntary basis in addition to the individual financial statements under commercial law.
target
The standard is intended to take into account the needs and requirements of SMEs and their users. The aim is to improve the comparability of international annual financial statements. This is intended to strengthen user confidence in the accounting of SMEs. In addition, a reduction in costs should be achieved, since a uniform international standard replaces numerous national regulations.
history
The standard was developed over a period of five years. The IASB deliberations began in July 2003. The English-language draft was adopted in February 2007. The German translation was published in June 2007. From June 2007, the standard was applied on a trial basis by 116 companies from 20 countries. In the following, the findings from the trial application and from the statements submitted by the professional associations were incorporated into the standard. The final approval took place in July 2009.
Structure of the standard
The standard is divided into 35 chapters and comprises 231 pages. In the following, the respective chapters of the standard are compared with the respective IAS / IFRS, from whose basic principles they are derived.
| chapter | source |
|---|---|
| 1 Scope | n / A |
| 2 concepts and basic principles | IASB Framework, IAS 1 : Presentation of Financial Statements |
| 3 Presentation of financial statements | IAS 1 : Presentation of Financial Statements |
| 4 Balance | IAS 1 : Presentation of Financial Statements |
| 5 Profit and Loss Account | IAS 1 : Presentation of Financial Statements |
| 6 List of changes in equity and a list of earnings and retained earnings | IAS 1 : Presentation of Financial Statements |
| 7 Cash Flow Statements | IAS 7 : Statement of Cash Flows |
| 8 Appendix | IAS 1 : Presentation of Financial Statements |
| 9 consolidated and separate individual financial statements | IAS 27 : Consolidated and Separate Financial Statements |
| 10 Accounting and valuation methods, estimates and errors | IAS 8 : Accounting Policies, Changes in Estimates and Errors |
| 11 and 12 Financial assets and financial liabilities | IAS 32 : Financial Instruments: Disclosure and Presentation, IAS 39 : Financial Instruments : Recognition and Measurement, IFRS 7 : Financial Instruments: Disclosures |
| 13 supplies | IAS 2 : Inventories |
| 14 Shares in associated companies | IAS 28 : Investments in Associates |
| 15 shares in joint ventures | IAS 31 : Interests in Joint Ventures |
| 16 Investment property | IAS 40 : Investment Property |
| 17 Property, plant and equipment | IAS 16 : Property, Plant and Equipment |
| 18 Intangible assets with the exception of goodwill | IAS 38 : Intangible Assets |
| 19 Business Combinations and Goodwill | IFRS 3 : Business Combinations |
| 20 Leases | IAS 17 : Leases |
| 21 Provisions and contingent items | IAS 37 : Provisions, Contingent Liabilities and Contingent Assets |
| 22 Debt and Equity | IAS 1 : Presentation of Financial Statements , IAS 32 : Financial Instruments: Disclosure and Presentation |
| 23 income | IAS 11 : Construction Contracts, IAS 18 : Income |
| 24 Government grants | IAS 20 : Accounting and Presentation of Government Grants |
| 25 Borrowing Costs | IAS 23 : Borrowing Costs |
| 26 Share-based payment | IFRS 2 : Share-Based Payment |
| 27 Impairment of Non-Financial Assets | IAS 2 : Inventories; IAS 36 : Impairment of Assets |
| 28 Employee Benefits | IAS 19 : Employee Benefits |
| 29 Income Taxes | IAS 12 : Income Taxes |
| 30 Foreign currency conversion | IAS 21 : The Effects of Changes in Foreign Exchange Rates |
| 31 Accounting in hyperinflationary countries | IAS 29 : Accounting in Hyperinflationary Countries |
| 32 Events after the end of the reporting period | IAS 10 : Events after the Balance Sheet Date |
| 33 Information on relationships with related companies and persons | IAS 24 : Information on Relationships with Related Companies and Persons |
| 34 Industry-specific regulations | IAS 41 : Agriculture; IFRS 6 : Exploration and Evaluation of Mineral Resources |
| 35 Transitional Regulations | IFRS 1 : First-time application of the International Financial Reporting Standards |
Differences compared to full IFRS
The most important differences compared to the full IFRS can be divided into five areas:
- Some subject areas of the full IFRS are omitted because they are usually not relevant for SMEs. This applies to earnings per share, interim reporting, segment reporting and the special accounting for assets held for sale.
- Some full IFRS options are not allowed for the IFRS for SMEs. (Examples: no option to classify financial instruments, no option to use the revaluation method for property, plant and equipment and intangible assets, no option to proportionate consolidation for joint ventures, fewer options for the accounting and presentation of government grants)
- Simplification of numerous approach and evaluation regulations. (Examples: If certain conditions are met, financial instruments are valued at amortized cost. If these conditions are not met, they are valued at fair value through profit or loss. However, a reference to IAS 39 gives companies the option of applying IAS 39 instead of the simplified regulations. Goodwill and others Assets with an indefinite life are to be depreciated over a maximum period of ten years. Shares in associated companies and joint ventures can in principle be valued at cost)
- Significantly fewer notes are required.
- Changes to the standard should only be made every three years.
Online access to the standard
The IFRS for SMEs can be downloaded free of charge from the IASB website (in many, but not in German). Registration and acceptance of the terms of use are required for this. The German text is available as a book.
See also
- International Financial Reporting Standards
- International Accounting Standards Committee
- International Accounting Standards Board
Individual evidence
- ↑ Press release of the IASB ( Memento of the original dated January 30, 2012 in the Internet Archive ) Info: The archive link was inserted automatically and has not yet been checked. Please check the original and archive link according to the instructions and then remove this notice.
- ↑ Fact sheet of the IASB ( page no longer available , search in web archives ) Info: The link was automatically marked as defective. Please check the link according to the instructions and then remove this notice.
- ↑ Online access to the IFRS for SMEs on the IASB website ( Memento of the original from July 24, 2015 in the Internet Archive ) Info: The archive link was inserted automatically and has not yet been checked. Please check the original and archive link according to the instructions and then remove this notice.
- ↑ IFRS for SMEs in German
